Business
Collegium to Acquire Ironshore Therapeutics, Expanding into Neurology
– Adds Commercial Product Jornay PM®, Establishing Collegium’s Presence in Neurology (ADHD) – – H1’24 Jornay PM Prescriptions Grew 32% Year-over-Year – –
About this update from Collegium Pharmaceutical, Inc.
[{"type":"text","content":"– Adds Commercial Product Jornay PM®, Establishing Collegium’s Presence in Neurology (ADHD) – – H1’24 Jornay PM Prescriptions Grew 32% Year-over-Year – – Transaction Expected to be Immediately Accretive to Adjusted EBITDA – – Acquisition Funded by Collegium’s Cash on Hand and New Five-Year Financing with Significantly Improved Terms – – Collegium Estimates Q2’24 Pain Portfolio Net Revenue of $145 Million, Up 7% Year-over-Year; Reaffirms 2024 Financial Guidance for the Current Business – – Conference Call Scheduled for Today at 8:30 a.m. ET – STOUGHTON, Mass. and GEORGE TOWN, Cayman Islands, July 29, 2024 (GLOBE NEWSWIRE) -- Collegium Pharmaceutical, Inc. (Nasdaq: COLL) and Ironshore Therapeutics Inc. today announced a definitive agreement pursuant to which Collegium will acquire Ironshore for $525 million in cash with the potential for an additional $25 million commercial milestone payment. Ironshore is a privately held, pharmaceutical company that markets and distributes Jornay PM (methylphenidate HCl), a central nervous system (CNS) stimulant prescription medicine for the treatment of attention deficit hyperactivity disorder (ADHD) in people six years of age and older and the only stimulant medication that is dosed in the evening. The acquisition of Ironshore will represent a significant milestone in advancing Collegium’s mission of building a leading, diversified specialty pharmaceutical company by expanding the Company’s business beyond pain management and establishing a commercial presence in a new and growing market. “The Ironshore acquisition is a unique opportunity to deliver a transaction that is immediately accretive to Collegium while meeting all of our strategic objectives through the addition of a growing commercial asset that diversifies our portfolio, has significant revenue potential and exclusivity into the 2030s,” said Michael Heffernan, Chairman and Interim President and Chief Executive Officer of Collegium. “The addition of Jornay PM will establish a new presence for Collegium in ADHD, a large and growing market, where we can leverage our core commercial competencies and proven commercial execution capabilities to maximize the brand’s potential. Our healthy balance sheet and strong financial position enabled us to secure attractive financing for the transaction with terms that reduce our cost of capital and e...